SANTA CLARA, CALIFORNIA, October 21, 1999 - DSP Group, Inc. (NASDAQ: DSPG) today announced that it has sold 251,700 shares of its affiliate, AudioCodes Ltd. (NASDAQ: AUDC), in addition to the 818,000 shares sold in a follow-on offering earlier this month. After the sale of these shares DSP Group holds approximately 2.9 Million of AudioCodes shares which represent approximately 15% of the outstanding shares.
DSP Group's proceeds from these sales are approximately $ 42.8 million.
Following the sale of the AudioCodes shares and the increase of AudioCodes' equity by net proceeds from the follow-on offering, DSP Group will record a one-time capital gain of approximately $47.4 Million this quarter.
DSP Group, Inc. is a leader in the development and marketing of high-performance, cost-effective digital signal processing cores used in a wide range of applications for industries such as wireless communications, telephony and personal computing. By combining its DSP core technology with its advanced speech processing algorithms, DSP Group also delivers a wide range of enabling application-specific ICs, such as ICs for fully featured Integrated Digital Telephony, for 900 MHz Spread Spectrum wireless telephony products and for IP telephony applications
Additional information is available on the World Wide Web at www.dspg.com. This press release is also available through the company's News on Call fax service, which can be reached at (800) 758-5804, company code 112025. For more information, please contact Michael Cohen, DSP Group at Santa Clara, CA. (408) 986-4300.
Director for Investor Relations
DSP Group, Inc.